James Knightley from ING stated in a report that if elected president, Donald Trump implements the tariff plan proposed during his campaign, it could raise inflation and cost each usa consumer up to 2400 dollars per year.

Trump announced a more specific tariff plan today, and Knightley previously stated that the increase in commodity costs, coupled with the proposed immigration policy bringing labor restrictions, could lead to a one percentage point rise in usa inflation.

While tariffs can indeed generate substantial revenue, he added that the broader economic impact and the resulting changes in consumer behavior limit the effectiveness of this policy as a long-term fiscal global strategy.